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But with so much uncertainty on the horizon this year, there is no guarantee that it will continue its stellar rise.

Brexit has been centre-stage for more than six months now, but it will be a major consideration for investors this year.

The market has been given a short-term lift from the fall in the pound, which is boosting the overseas earnings of many firms. But as increased import costs start to weigh on firms, this may not last.

Although the UK is unlikely to leave the EU for at least another 18 months, Naeem Aslam of Think Markets believes the negotiations, as they unfold, could push the FTSE towards the 9000 mark.

Jordan Hiscott, chief trader at Ayondo markets, says: 'If it looks like we are headed for a so-called hard Brexit, this will lead to a weaker pound, which will boost the profits of many FTSE international companies and push the market higher. I think the FTSE could reach 7500.'

Tom Becket, chief investment officer at Psigma, is expecting FTSE company earnings to grow around 8 per cent this year because of the weakness in the pound, and two-thirds of blue-chip company earnings coming from overseas.

He says: 'However, I don't think it will go much higher than 7400 because I think optimism in 2016 meant a lot of this year's growth was already borrowed last year.'

The fortunes of the oil and mining sector is likely to be a major decider in the outlook for the stock market.

A fragile pact among the Opec cartel members has led to a recovery in the price of the black stuff. But the production cut is yet to come into play and many experts are unsure how long it will hold.

If any member reneges on their pledge it could send the oil price spiralling again, damaging the prospects of the FTSE oil giants.

Fiona Cincotta, market analyst at City Index, says: 'I am looking optimistically at the FTSE for the year. Levels of above 8750 could realistically be within reach.'

Russ Mould, investment director at AJ Bell, says: 'When I drew up my forecasts in mid-December, I thought a year-end point of around 7350 for the FTSE looked pretty fair, but that looks a bit tight-fisted after the recent surge.

'But I do fear it might not take a lot to shake things up, given the prevailing buoyant mood, so I would be wary of getting too carried away just yet.'

For those who do think the FTSE has further to climb, Jason Hollands, managing director at Bestinvest, says investing in a simple tracker fund is a cheap way to get access to this growth.

The iShares FTSE 100 tracker charges just 0.07 per cent a year. Investors can also pick funds which focus on blue-chip business.

Hollands likes the JO Hambro UK Opportunities fund which invests in BP, National Grid and Unilever. It has returned 15.5 per cent over the past year.

But 2016 threw investors curveballs in what turned out to be an unpredictable year. Just a week into 2017, it's difficult to guess what might happen in the remaining months.